May 5 2004
ARMENIA MAY CEASE RECEIVING PRIVILEGED LOANS FROM WORLD BANK IN 4
YEREVAN, MAY 5, ARMENPRESS: Armenia has received so far some $788
million in loans from World Bank for implementation of 33 projects.
World Bank Armenia Resident Representative, Roger Robinson, told a
news conference today that cooperation between the Bank and Armenian
government encompasses education, health, road-building, agriculture
development and other sectors.
He said loans are allocated to Armenia with a 35 year maturity
period, 10 year grace period and 0.5 percent annual interest rates.
Robinson said if the current economy growth rate continues into next
four years, the country will no longer be eligible to privileged
loans from World Bank, which are given to poor countries. Robinson
said Armenia has enough resources to utilize World Bank loans
effectively. He also said Armenia will not feel the lack of
development funds in upcoming years and that the main problem will be
to efficiently use them.
He said on June 10 World Bank Board of Directors will discuss a
set of credit projects for continuing health and other reforms. Some
$20 million are expected to come for implementation of a long-term
Another loan in the amount of $5 million may be released to
Armenian employment and social issues ministry to improve employment
services. This will be followed by another loan for improving the
security of water reservoirs. Overall, the anticipated amount of new
loans may amount to $30 million.
In conclusion Robinson said that despite a substantial progress in
improvement of business environment Armenian authorities still have a
lot to do to bring it in compliance with international standards.